Universities: Impact of Government Policy

Baroness Brinton Excerpts

Thursday 13th October 2011 Lords Chamber

[Baroness Brinton]

My Lords, I am grateful to the noble Lord, Lord Giddens, for instigating this debate. However, I take very gentle issue with his memory of the past Labour Government’s higher education policies, given his statement that he was concerned about the speed with which the coalition Government have implemented some of the reforms. It seems to be forgotten that the Labour Government introduced tuition fees in the first place a year after Tony Blair had promised not to do so in 1997, and that the same thing happened again as regards the introduction of top-up fees two years after they had promised not to do so in the 2001 Labour manifesto. They also commissioned the Browne review. I understand that the noble Lord, Lord Mandelson, said in March in this very House that had Labour still been in government it would have needed to double tuition fees at the very least, given the financial situation in which we find ourselves.

It is no secret that had the Liberal Democrats won the general election, we would have done things differently. However, I am proud of the coalition agreement which incorporated more than two-thirds of our manifesto pledges. Unfortunately, tuition fees policy fell into an area that remains unfulfilled, not least because of the size of the deficit and the need to reduce it firmly and to get the UK back to financial balance. However, following careful negotiations, the system with which we have ended up is significantly more progressive than the Labour system we inherited. That is not only our view but that of the Institute for Fiscal Studies. There are no upfront fees for students so that should not deter them from applying. Graduates will start to pay only when they can afford to, once they are earning £21,000 and there will be lower lifetime contributions for the poorest group of students compared with the system that Labour left behind. Importantly, there will also be more support for the Cinderellas of the higher education and further education systems, part-time students—now 40 per cent of our undergraduates—who had previously been shamefully shunned by the Government in a system geared entirely towards full-time students.

I always felt it was iniquitous that the previous Government did not provide any access to loans for fees for part-time students, many of whom come from low-income backgrounds and stay at home in order to study. However, there is an anomaly that I have raised with the Minister in the Education Bill where it is proposed that part-time students should start to repay their loans from the April three years after they commence studying, if their earnings reach £21,000. As I said in Committee on the Education Bill the other day, while I think this is probably a fairly small group of students, I know from my experience in higher education that mature students often make the decision to study while continuing to work part time. While an income of £21,000 sounds like a good deal for a 21 year-old, it is not a high salary for someone with home and family responsibilities to juggle alongside their study. I worry that this may deter some excellent prospective students from taking up their places on courses. There is also the fundamental question of equity. A full-time student undergraduate on a four-year course, whether an engineer or a linguist, will not be asked to start repaying until their course ends whereas part-time students are being asked to start repaying at three and a half years, regardless of whether they are close to finishing their course or not.

I had some involvement with Aimhigher in my previous role as the executive director of the Association of Universities in the East of England, and while I regret its demise—it has done some good work—I welcome the clearer direction on universities to actively target students from backgrounds where they may not have previously considered a university education.

For me a surprising element of the White Paper Students at the Heart of the System was the proposals regarding extra places for those HEIs taking students with AAB or equivalent qualifications. It seems to me that this may have a law of unintended consequences, with the possibility of bidding wars, and a real impact on recruitment for some of the middle-ranking universities. I hope that I am wrong. I give an example. Certain specialist courses such as medical or pharmacy courses might well be affected if numbers fluctuate fairly strongly in either direction. We are discovering that it is fairly easy to close down a university department but I know from experience that it takes a very long time to build up expertise, plan and then implement a new department. It is not always possible therefore to respond as quickly as is the case with more straightforward courses at, for example, a further education establishment. The impact on medical and healthcare education could be quite serious.

Today I have received a letter from the noble Viscount, Lord Hanworth, who is unable to be in his place. He writes wearing his professional hat as an academic at Leicester University about the difficulties that universities are having with the UK Border Agency in recruiting international postgraduate students who are partly funded by being employed by their host university and partly by bursary. In a bizarre decision, UKBA is now refusing to accept a university's guarantee that it will be paying that salary and maintenance grant, and so the students are being refused entry visas. This has long been a perfectly acceptable way of making up a package for postgraduate students which benefits both the student and the university in the short and the longer term. As a result, the university now finds itself short of teaching assistants. UKBA accepts guarantees from overseas governments and foreign institutions but not our own class one universities. I hope that the Minister will be able to find out more about this for the House and report back in due course.

Finally, I welcome the coalition Government’s focus on improving and widening participation. Funding provided by the Higher Education Funding Council has already enabled the Open University to attract 20 per cent of its newest students from the 25 per cent most disadvantaged communities. I hope that these priorities, and, indeed, the funding streams that support them, remain in place beyond 2012, as this work in delivering real results for individuals, universities and this country as a whole must continue.

[Baroness Northover]

My Lords, I remind noble Lords that this is a time-limited debate. When the clock hits six you have had your six minutes.